Archive : Generations

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All Is Not Well in Stockton

All Is Not Well in Stockton

It didn’t come as a surprise when the California city of Stockton declared bankruptcy; city officials had been issuing warnings for quite some time. Stockton is insolvent and has not been keeping up with payments towards its employees’ pension fund accounts. It is the city’s largest financial liability and, while the bankruptcy judge agreed the city is broke, he has not determined if the pension payments can be included in the negotiations. If the judge decides that payments to the pension fund can legally be reduced just like most outstanding debt in bankruptcy proceedings, city employees will potentially face lower pension benefits; if payments to the pension fund cannot be legally reduced, it means that all the city’s creditors, except the pension fund, will get pennies on the dollar and the city might never dig itself out of its hole. It’s a mess.
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Between the Generations

Between the Generations

Some intersections are more treacherous than others – like the place where aging parents and family finances meet. Talking about money is rarely easy; talking to our parents about money – and aging – is something almost everyone would rather avoid. And yet avoiding it only postpones any potential problems; it won’t make them go away. In fact, putting off the conversation may be the path of least resistance, but it may be the wrong way to go.
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The Road Ahead is Booming

The Road Ahead is Booming

Each day 8,000 or so members of the Baby Boom generation turn 65. And it will go on for another 18 years. But just because these people have hit retirement age, it doesn’t necessarily mean that they are going to retire. Baby Boomers are looking at this crossroads differently than they did two or three decades ago. Gone are the days when this generation followed the well-carved-out path of starting a vineyard and spending their days in rocking chairs. Now, they are interested in transitioning to other jobs or becoming consultants instead of retiring.
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The 411 on 529s

The 411 on 529s

I was at a birthday party for a friend of my son a few weeks ago and the topic of discussion among parents turned to saving for college. Higher education has always been costly and, historically, considered well worth the price. Despite savings, grants and scholarships, Millennials and their parents (who, for the most part, are Baby Boomers) bore the brunt of those escalating costs in real time. Now the most educated – and debt-burdened – generation in American history is beginning to have children of its own. Possibly, the only way Millennials are going to avoid prolonging the education loan cycle is to start saving for their children’s education the minute they are born.
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The Sums of Education

The Sums of Education

Millennials, people born after 1980, who went to college in the early years of the 21st century, now have young families or are starting to think about it. Considering the oldest Millennials are currently cresting 30, the timing seems right. But what sets them apart from other generations is this age group’s indebtedness to education loans. It’s not just a possibility that they will be saving for their children’s education while they pay off theirs, it’s a fact.
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